Company Presentation
March 2023
Positioned to win in the ASCs
Forward-Looking Statements
This presentation contains forward-looking statements that involve substantial risks and uncertainties. All statements, other than statements of historical facts, contained in this presentation, including statements regarding our strategy, future operations, projected financial position, future revenues, projected costs, projected profits, projected margins, prospects, plans and objectives of management, are forward-looking statements. The words "anticipate," "believe," "estimate," "expect," "intend," "may," "plan," "predict," "project," "target," "potential," "will," "would," "could," "should," "continue," "grow," "improve," and "trend," and similar expressions are intended to identify forward-looking statements, although not all forward-looking statements contain these identifying words.
We may not actually achieve the plans, intentions or expectations disclosed in our forward-looking statements, and you should not place undue reliance on our forward-looking statements. Actual results or events could differ materially from the plans, intentions and expectations disclosed in the forward-looking statements we make. The forward-looking statements contained in this presentation reflect our current views with respect to future events, and apply only as of the date of this presentation. We assume no obligation to update any forward-looking statements.
Our business is subject to substantial risks and uncertainties, including those referenced in certain of our filings with the SEC under the heading "Risk Factors." You are encouraged to read our filings with the SEC, available at www.sec.gov, including our Annual Report or Form 10-K for the year ended December 31, 2022 filed with the SEC on March 1, 2023, as well as our Quarterly Reports on Form 10-Q and other SEC reports. You should give careful consideration to these risks and uncertainties.
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Conformis
Overview
Founded | 2004 |
Headquartered | Billerica, MA |
Ticker | CFMS |
Global Employees | ~295 |
Platform | Proprietary approach to design & |
manufacture personalized orthopedics | |
Clinical & | 50+ peer reviewed publications & |
Economic Evidence | clinical studies highlighting the |
benefits | |
Delivery Model | Surgery-in-a-Box™ |
Milestone | Sold >145,000 personalized knees |
Positioned to win in the ASCs
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The Orthopedic Industry is at an Inflection Point
Conformis' capital-light model and cash pay options are unique and well-aligned with industry trends
Elective procedures are shifting to ASCs | Surgeons are being squeezed | Patient consumerism on the rise | ||
Nearly half of all knee & | Physician fees continue shrinking | Patients are demanding more say in | ||||||
hip procedures will be | Medicare Fee Schedule for Knee Arthroplasty1 | treatment options and are willing to pay | ||||||
performed in the ASC in | 3,000 | Primary TKA | out-of-pocket for deluxe products & | |||||
2,785 | services | |||||||
the next several years | ||||||||
2,386 | Revision TKA | |||||||
($) | 2,000 | 1,828 | Existing Medical Analogs | |||||
2019 | 1,408 | |||||||
1,000 | Premium | |||||||
Private Room | Platelet-Rich | |||||||
Intraocular | ||||||||
Upgrade | Plasma | |||||||
0 | Lens (IOLs) | |||||||
2000 | 2005 | 2010 | 2015 | 2020 |
ASCs have unique requirements
Lack of Storage
Focus on Profits
High Throughput
Healthcare providers are under pressure
- Staffing shortages; nursing
- Rising labor costs
- Decreasing reimbursement rates
- Continued demand for increased patient safety and quality
- Mounting financial pressures
Conformis Advantage
Conformis' unique capital light delivery
model & cash pay service program address changing market dynamics
- Unique service model; new revenue stream
- Surgery-in-a-boxdelivery model
- Tray sterilization savings; single reusable tray
Note: | | | 4 |
1) | ||
Inflation-adjusted physician fees for primary TKA (CPT 27447) and component revision TKA (CPT 27487) from 2000 through 2019. TKA, total knee arthroplasty; CPT, Current Procedural Terminology |
Business Model Evolution Addresses U.S. Market Dynamics
Splitting our custom implant into two pieces - Standard Imprint Knee and Unique Deluxe Service
Past Business Model | Evolved Business Model - 2 Phase Transition |
Fully Personalized Knee
- The Conformis foundation was built on patented patient specific implants and instrumentation along with a proprietary design and development process
- Recognized leader in patient-specific implants and instrumentation
- Excellent dossier of clinical and health economics studies
- Innovative Surgery-in-a-Box™ delivery model
Phase 1
New Knee System: Greater Pricing Flexibility
- Recently introduced the Imprint knee system to offer surgeons greater intra- operative flexibility (multiple polys) and shorter lead times
- Provides greater pricing flexibility to address the broader total knee arthroplasty market with proprietary surgery-in-a-boxmodel
- Addresses the distinct needs of ASCs
Phase 2
Deluxe Service Upgrade: September 2022
- New personalization service offers greater choice and changes the pricing and payment paradigm
- Patients pay an out-of-pocket fee to receive additional services to obtain our fully personalized implant offering
- ASCs & hospitals may collect an out-of-pocket payment for these deluxe services
- No change to clinical workflow; no capital investment required
- Market with the previously completed studies
- Enhances opportunity with ASCs
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Disclaimer
ConforMIS Inc. published this content on 08 March 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 08 March 2023 15:16:04 UTC.